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Committee releases data‑center reporting bill and a separate tariff proposal after contested testimony
Summary
The committee released S.4293 (data‑center water and energy reporting) and S.4307 (special tariff authority for large‑load data centers) after testimony about water use, grid impacts and economic trade‑offs; amendments limited tariff scope to very large facilities.
The committee considered two related measures aimed at large computing facilities: S.4293 would require data centers to submit regular water and energy usage reports to the BPU; S.4307 would authorize utilities to design special tariffs for large‑load data centers to protect ratepayers from new transmission, distribution, capacity or energy costs.
Supporters from environmental groups cited significant local water and energy impacts. Doug O’Malley of Environment New Jersey said a single data center can consume "as much as 5,000,000 gallons of water daily," arguing reporting is necessary for water‑constrained communities. Advocates also argued that data‑center demand drove recent spikes in PJM capacity projections and thus regional rate increases.
Industry and business groups (NJBIA and others) warned the measures could deter investment and stressed existing permitting and reporting systems; they urged careful calibration and fiscal protections to avoid unintended consequences. The committee adopted amendments narrowing the tariff bill to apply to facilities with maximum monthly demand of at least 100 megawatts and authorized the BPU to set large‑load tariffs and protective conditions.
Both bills were released by roll call; committee members directed stakeholders and utilities to continue negotiations over reporting frequency, thresholds, and impact mitigation before floor consideration.
